Steward Health Care auction: What assets sold, closed and are still up for grabs

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Since Steward Well being Care filed for Chapter 11 chapter protections in Might, the Dallas-based well being system has been racing to unload its hospital portfolio and doctor group, Stewardship Well being, in what is likely one of the largest supplier restructurings in latest historical past.

Steward operates 31 hospitals throughout eight states — Arizona, Arkansas, Florida, Louisiana, Massachusetts, Ohio, Pennsylvania and Texas — and entered chapter proceedings meaning to market, public sale and finalize asset gross sales inside three months, in keeping with courtroom paperwork.

The strain for an expedient sale got here each from lenders, who tied financing to Steward assembly gross sales deadlines, and from operational constraints. Previous to getting into chapter, Steward had amassed $9 billion in debt, and Steward attorneys have warned the courtroom the system doesn’t have the liquidity to proceed funding hospital operations by way of the autumn.

Regardless of the urgency, the gross sales course of has been riddled with setbacks. Public sale timelines have been revised nearly weekly, consumers have backed out of offers and Steward, which as soon as was optimistic it might hold all services open throughout restructuring, has already needed to shut some hospitals. 

The well being system blames delays on its properties’ various ranges of desirability in addition to battle with its landlord and creditor, Medical Properties Belief. The well being system pays the true property funding belief and an affiliated firm $341 million yearly in hire — a value consumers are hesitant to imagine, in keeping with courtroom paperwork. 

Steward and MPT spent the summer season locked in fierce mediation periods and, in late August, MPT filed discover threatening to dam hospital gross sales if negotiations continued to stall. 

Healthcare Dive is monitoring the standing of Steward’s sale course of under, together with the place hospitals have bought and closed. The database may also monitor which hospitals are within the public sale course of and both accepting bids from consumers or awaiting a sale listening to in chapter courtroom.